Collaborating in China

What to consider before getting started

Before you get started, consider what each side will bring into the collaboration and how you'll manage any IP that arises, along with IP that already exists. Issues to consider include:

• Who will own IP rights that emerge from the collaboration?
• Who will own commercialisation rights, and in which locations?
• Will the other party receive royalties?
• How will payments will be made?
• How will funds be sent to Australia?

Whenever you do business in China you should:

• Register your IP rights in China early.
• Conduct IP searches.
• Do your due diligence.
• Have well-drafted contracts in place.

For detailed information on collaborating in China, download our guide:

Keep your discussions confidential

Sharing key information with potential collaborators or manufacturers is a normal step of the collaboration process. However, before starting discussions, you should have agreements and procedures in place to protect your interests.

This could include non-disclosure agreement (NDA) and processes to manage confidential information, such as:

• Keeping accurate records and copies of key correspondence relating to your agreement
• Managing confidential information carefully, even if you have an NDA in place
• Classifying confidential information and restricting access to a need-to-know basis
• Closely monitoring the movement of flash disks, portable hard drives and laptops.

Prepare a non-disclosure agreement

A legal professional with expertise in Chinese law can assist you with preparing a non-disclosure agreement. Your Australian legal counsel can work with Chinese lawyers, or you can work directly with a Chinese or international firm. You can also search for an Australian patent or trade mark attorney using the Trans-Tasman IP Attorneys Board directory who either can assist or provide you with a referral.